Which of the following statements regarding profit-sharing plans is (are) CORRECT? The maximum tax-deductible employer contribution to a profit-sharing plan is 25% of total covered employee compensation. Company profits are required to make contributions to a profit-sharing plan. Companies adopting a profit-sharing plan are required to make annual contributions to the plan. Profit-sharing plans are only suited for companies with predictable cash flows.

Question options:

II and IV

I only I

, II, and IV

I, II, and III